Mar 31, 2023

Live Nation Q1 2023 Earnings Report

Live Nation's Q1 2023 results reflected unprecedented global demand for live events, marked by record revenue and operating income.

Key Takeaways

Live Nation Entertainment reported record first-quarter results, driven by strong global demand for live events. Revenue increased by 73% to $3.1 billion, and operating income rose 5.3x to $143 million compared to the same period last year. The company saw growth across all divisions, with significant increases in fan attendance, ticket sales, and sponsorship revenue.

Revenue increased by 73% to $3.1 billion compared to Q1 2022.

Operating income increased 5.3x to $143 million compared to Q1 2022.

Over 19 million fans attended shows across 45 countries.

Over 145 million tickets were sold.

Total Revenue
$3.13B
Previous year: $1.8B
+73.5%
EPS
-$0.25
Previous year: -$0.39
-35.9%
Fee-bearing tickets
72.58M
Previous year: 51.38M
+41.3%
Total fans
19.51M
Previous year: 10.8M
+80.6%
Gross Profit
$1.01B
Previous year: $732M
+38.3%
Cash and Equivalents
$6.99B
Previous year: $5.87B
+19.1%
Free Cash Flow
$1.04B
Previous year: $1.14B
-8.5%
Total Assets
$18.9B
Previous year: $16B
+17.9%

Live Nation

Live Nation

Live Nation Revenue by Segment

Forward Guidance

Live Nation expects to host a record number of fans and for Ticketmaster to deliver record activity in 2023. The sponsorship business is also on track for double-digit AOI growth.

Positive Outlook

  • Expect to host a record number of fans this year.
  • Ticketmaster should deliver record activity, with around 600 million tickets managed globally this year.
  • Sponsorship business is on track for double-digit AOI growth again this year.
  • Have all the necessary levers to build our flywheel globally and continue to compound AOI by double-digits for the foreseeable future.
  • Expect capital expenditures to be approximately $450 million in 2023 as we continue catching up on projects delayed due to supply chain constraints and further expand our global platform.

Challenges Ahead

  • Operational challenges in achieving strategic objectives and executing on the company's plans
  • The risk that the company's markets do not evolve as anticipated
  • The potential impact of any economic slowdown
  • Operational challenges associated with selling tickets and staging events.
  • Some known and unknown factors that could cause actual results to differ materially from any future results

Revenue & Expenses

Visualization of income flow from segment revenue to net income